OREANDA-NEWS. On 08 May 2008 was announced, that at the EBRD Regional Office in Kyiv, EBRD Country Director for Ukraine Kamen Zahariev and ASTARTA Holding N. V. CEO Viktor Ivanchyk signed a \\$20 million loan agreement provided for ASTARTA, Ukraineґs leading agribusiness operator and sugar producer.  This is the first EBRD loan provided to a Ukrainian agri-business after Ukraine's accession to the World Trade Organization.  The loan will enable the Agri-industrial holding Astarta to modernize its sugar plants and agricultural operations.

Sugar production is an energy intensive activity and the EBRD finance will allow Agri-industrial holding Astarta to introduce significant improvements at each of its five sugar plants. This should result in considerable energy savings estimated at 20-30 per cent of the current energy consumption, mainly natural gas, per tonne of processed sugar beet. Productivity increases and cost reductions will bring the holding's operating performance closer to EU standards.

In order to assess energy saving project opportunities, the EBRD commissioned an energy audit conducted within the Energy Audit Programme funded by the Central European Initiative (an intergovernmental organisation for political, economic and cultural co-operation among its 18 member states in Central and Eastern Europe; http://www.ceinet.org). The study found potential for the reduction of Agri-industrial holding Astartaґs carbon emissions by 300,000 tonnes of CO2 by 2012. The company is currently discussing a potential sale of carbon credits under the Kyoto protocol with the EBRD-EIB Multilateral Carbon Credits Fund.

Kamen Zahariev, EBRD Country Director, Ukraine, said, "The introduction of energy saving equipment and new cultivation and sugar beet processing methods will bring new standards and practices to the still inefficient production of sugar in Ukraine."

Victor Ivanchyk, CEO of Astarta Holding N.V., added: "For Astarta, the development of its business means not only the expansion of production capacities and arable land but also their efficient utilization. The EBRD loan will enable us to achieve optimal production results and improved energy efficiency."